@Dave Foster knows 1031 way better than I do but if I am correct in my interpretation1) you likely do not need the 1031because you can exempt $250k of gains because it was lived in for 2 of 5 years2) if it has not been a rental it does not qualify for 1031 If something I stated is incorrect, Dave can enlighten both of us.As to your dilemma, first recognize the advantages of the 2 of 5 year rule and that it vanishes if rented 3 years.  

Some states may not recognize or fully conform to the federal provisions.

@Erica Davis what happens if you wait a year to speak with a lender and they tell you need to change something to better qualify - which will take a year to be recognized?

Also, the lease & tenant must be in place for an underwriter to recognize the rental income.Go speak with an experienced lender.

I do not believe FL is a state that recognizes this remedy.

I recognize you have holding costs, but I suspect the price differential will more than cover the additional carrying costs.Good luck

If I had recognized you, I would have introduced myself.  

Remember, they can always refer themselves😊Use one of the ideas below to trigger who they know that they could connect you with:Just inherited a homeHad a loved one pass awayIs behind on their mortgage or tax paymentsHas a relative that can’t take care of their house anymoreHas a house they’re having trouble sellingIs facing bankruptcyKnows a probate attorneyKnows a bankruptcy attorneyetcPutting this in OVERDRIVECreate a spreadsheet (Excel or Google Sheet) listing everyone you can think of that would recognize your name or face.

I still enjoy working with them, but as a broker, we have to recognize when a file is going south and when to pull it to put elsewhere so it doesn't drag out. 

I recognize you inherited the lease at purchase.